Bithumb’s No-Trading-Fee Policy Proves Effective in Boosting User Engagement

Bitstamp, regarded as the longest-running cryptocurrency exchange in the business, declared on March 6 that it has obtained in-principle approval for a license to function as a Major Payment Institution (MPI) from the Monetary Authority of Singapore (MAS).Photo by Zhu Hongzhi on UnsplashFirst major Euro exchange in SingaporeThis preliminary approval, a precursor to a full-fledged license for operation in Singapore, marks a significant milestone for Bitstamp towards offering digital payment token services within the city-state. According to the exchange's press release, it's the first crypto trading platform with a substantial presence in the European Union (EU) to secure such approval from MAS. The nod from Singapore’s financial regulator arrives amidst notable regulatory strides in the crypto domain, including the European Union’s rollout of the Markets in Crypto-Assets (MiCA) framework and the green light given by the U.S. for Bitcoin ETFs. Focusing on AsiaBitstamp's strategic focus on the Asia Pacific region, with Singapore as its central hub, underscores its focus in delivering services to both institutional and retail clientele across the region. The firm’s intent in this regard became clear in August of last year when Bitstamp sought capital funding to enable it to extend the platform’s reach into various markets across Asia. Whilst the company’s origins can  be traced back to Slovenia, it has since developed further ties with Asia. In 2018, the company was acquired by NXMH, a subsidiary of South Korea’s NXC Corporation. The same holding company owns Korean crypto exchange Korbit. Compliance strategyWhile the licensing is quite the achievement, the company already boasts a robust regulatory track record, surpassing the 50-license mark across key markets such as Luxembourg, the Netherlands, Italy, Spain, France the United States (with coverage in 40 states including New York, Washington, Texas and Florida) and the United Kingdom. In its press release the company referred to its ever-growing licensing collection, outlining that “compliance and regulation [are] at the heart of all operations.” Leonard Hoh, Bitstamp's APAC General Manager, lauded Singapore's proactive stance in establishing a regulatory framework for crypto exchanges, positioning the city-state as a pivotal player in the digital assets landscape. Singapore has already granted full licenses to several crypto service providers, including Blockchain.com, Circle, Coinbase and Ripple. In late 2023, Bitstamp initiated talks with three major European banks regarding the potential introduction of cryptocurrency services in 2024. This signals a broader trend within the EU, where the crypto regulatory initiative, MiCA, is smoothing the path for traditional financial institutions to venture into the digital assets realm. Robert Zagotta, Bitstamp’s Chief Commercial Officer, highlighted the surge in interest surrounding its “Bitstamp-as-a-Service” offering, especially within European circles. This service furnishes a white-label licensing framework, coupled with requisite technology, to aid banks and fintech entities in facilitating cryptocurrency transactions for their clientele. However, the regulatory landscape isn't as welcoming in India, where the country’s Financial Intelligence Unit (FIU) urged the Ministry of Electronics and Information Technology to block the URLs of nine major global crypto exchanges, including Bitstamp, in late 2023. 

Animoca Brands Partners With Yuga Labs on ‘Wreck League’ LaunchHong Kong’s Animoca Brands and its San Francisco-based subsidiary nWay, a developer and publisher of multiplayer games, have partnered with Yuga Labs, unveiling their latest creation: “Wreck League.”Photo by Haidan on UnsplashLeveraging Web3Diving into uncharted waters in the realm of esports, this game leverages Web3 technology to empower players with the ability to construct, possess, and engage in battles with their very own distinctive Mech fighters.“Wreck League” challenges the traditional boundaries of gaming by permitting enthusiasts to craft their fighters, engage in fierce competitions, and secure on-chain rewards. Set to debut its maiden season, the game will draw inspiration from the Web3 stalwart, Yuga Labs.The game boasts a dual-pronged design, encompassing both Web2 and Web3 versions. In a savvy maneuver to capture a wide-ranging audience, nWay has devised a marketing strategy that seamlessly integrates effective user acquisition techniques from their previous ventures while circumventing complex blockchain terminology.Clarifying the ingenious concept behind the game, Taehoon Kim, the CEO of nWay, explained: “Wreck League stands as a fusion of Web3 and Web2 concepts. Our mission revolves around unifying communities and players, tapping into the creative wellspring of the Web3 community to consistently elevate the game’s content.”Designed for player retentionWithin the player community, creators, owners, and participants converge to partake in league events. The crux of the game revolves around the assembly of high-performance Mechs, crafted from a collection of 10 distinct Mech Parts NFTs.Player retention is a cornerstone of its design, driven by an engaging trajectory of in-game progression through upgradable mech parts, enhancing gameplay dynamics, and embedding the notion of asset ownership. The more players invest in refining their assets and advancing through levels, the stronger their bond with the game becomes. Active participation in events and tournaments further reinforces player allegiance.Yat Siu, the Co-Founder and Executive Chairman of Animoca Brands, is optimistic regarding the transformative potential of “Wreck League” within the esports sector. Siu envisions the game, where digital asset ownership is the norm, as a harbinger of a monumental shift in competitive gaming dynamics.Expanding market reachFor Yuga’s part, the NFT and metaverse company is using gaming, through this particular partnership, as a mechanism to broaden the reach of its well-established NFT brand. That said, it has also made its own individual efforts in that regard recently. The Web3 studio, best known for having created the Bored Ape Yacht Club (BAYC) NFT collection, has released two games, Dookey Dash and Forge, independently.nWay and Animoca Brands get to benefit from access to Yuga’s well-known NFT collections through the partnership. The companies confirmed that as part of the gaming experience, gamers will be able to collect and take ownership of in-game digital assets in the form of NFTs.Animoca acquired nWay in December 2019 for $7.69 million. The games developer and publisher creates and distributes triple A games on console, PC, and mobile platforms. At the time of the acquisition Animoca Brands outlined that it foresaw nWay innovating in the area of blockchain-based games, with the intention of both companies working together relative to that endeavor.

KuCoin Dismisses Notion of a Layoff PlanAmidst recent rumors of significant layoffs at Seychelles-based cryptocurrency exchange KuCoin, the company’s CEO has come forward to deny any such plans.While not refuting the possibility of staff reductions, KuCoin’s CEO, Johnny Lyu, took issue with the term “layoffs,” asserting that it was a reevaluation of the organization’s structure rather than job terminations. The speculations about staff cuts were first reported by Colin Wu of Wu Blockchain on Twitter.Photo by Joao Viegas on UnsplashAlleged 30% workforce reductionAccording to his sources, KuCoin was planning to layoff around 30% of its workforce, attributing the alleged measure to a strict know-your-customer (KYC) policy that had impacted the firm’s profits.The KYC policy in question was introduced after KuCoin faced legal action from the United States. In March, the New York Attorney General accused the exchange of violating securities and commodities laws, leading to the implementation of the more stringent KYC measures.Routine bi-annual appraisalsInstead, Lyu has clarified that any adjustments to the company’s headcount were a result of routine bi-annual appraisals aimed at maintaining competitiveness in the market.Taking to Twitter on Tuesday, Lyu referred to the layoff reports as “rumors.” He emphasized that the company regularly evaluates its organizational structure based on employee performance and overall company development to ensure dynamism and competitiveness.The Kucoin CEO pointed to a recent report issued by the company as evidence of the exchange’s ongoing growth. The report revealed that the firm had added 300 new employees in the first half of the year. It also mentioned that KuCoin was in the process of upgrading its KYC authentication systems to enhance user asset security, comply with global compliance requirements, and create a safer trading environment.Despite the speculation and policy changes, KuCoin ranks 11th in terms of “trust score” among other exchanges, according to CoinGecko. Over the past day, the exchange notched up an impressive $327 million in trading volume.KYC policy changeRecently, KuCoin updated its KYC policy, requiring newly registered users to complete the KYC process to access the exchange’s products and services. Existing registered users who had not completed KYC by the deadline faced restrictions on their accounts, limiting certain activities but allowing fund withdrawals.The update to the KYC policy had a notable impact on KuCoin’s trading volume. A day after the announcement, trading volume skyrocketed to $6.8 billion from the previous day’s $500 million, according to CoinGecko data.Lyu has pledged to continue investing in the company’s core businesses while providing users with the exceptional trading experience they’ve been promised.KuCoin may have dispelled rumors of widespread layoffs and clarified that any staff adjustments were part of routine organizational development. However, there’s no doubt that the crypto exchange business is going through a difficult period.Most exchanges have suffered due to regulatory pushback, particularly those that have focused their activities in the United States. Earlier this month, global exchange Binance cut 1,000 jobs with plans to make further cuts in the future.